Date: Friday 5th January 2018
Time: 13:30 UTC
CAD Employment Change is released at the same time as USD Nonfarm Payrolls.
There’s potential for a larger move from USD Nonfarm Payrolls, but it can also be more erratic. Beginner traders maybe better off trading CAD Employment Change, it’s often more predictable.
Setting up procedure
Our market of choice: EUR/CAD
We avoid USD for this figure as there are USD figures released at the same time.
Main Report
CAD Employment Change
Deviation: +/-20
We consider this to be tight. If you’re not comfortable with this, push the parameters out to +/-30.
| Prior | Forecast | Buy | Sell |
|---|---|---|---|
| 79.5 | 1.0 | <-19 | >21 |
Conflicts
Although the Unemployment rate is released at the same time, this appears to have little effect and therefore we don’t consider it to be a conflict. However ideally, we would like to see them both inline.
Post-News Analysis
| Forecast | Actual | Trigger |
|---|---|---|
| 1.0 | 78.6 | Sell |
CAD Employment Change came in with a really large beat and triggered a sell trade in EUR/CAD. EUR/CAD spiked down 84 pips in the first minute and then followed through for the next 10 minutes. We managed to enter before EUR/CAD had moved and exited in two minutes for +74 pips. If you were able to hold on through the micro pullbacks, there was a potential 150 pips in this trade.
This was an excellent figure to trade, I hope you all did well! Our trade can be seen below.
